Skip to content

NYS Regulation Will Prohibit No Fault Attendance Insurance policies


Final month, the New York State legislature handed Senate Invoice S1958A. This invoice, if and when was state legislation, will amend the New York Labor Regulation to ban absence management insurance policies, often known as “no-fault” attendance insurance policies, that self-discipline workers for taking absences which are protected underneath federal, state, and native legal guidelines. 


No-Fault attendance insurance policies are insurance policies established by corporations in efforts to curb absenteeism within the office. These insurance policies penalize employees for absences by using a factors system to be able to monitor attendance. Factors are allotted primarily based on how a lot work is missed and, relying on the corporate, workers may be disciplined or fired in the event that they attain a sure variety of factors. This level system and the quantity the place disciplinary motion is taken varies from firm to firm. 

See also  Wage Ranges Required on Job Advertisements in New York


In numerous states, these attendance insurance policies have been challenged as a violation of worker rights. For instance, most of these insurance policies might violate federal legal guidelines just like the Household and Medical Depart Act (FMLA) and the Individuals with Disabilities Act (ADA). As a result of nature of those two acts and their safety of workers with medical and bodily circumstances, a no-fault attendance coverage usually violates the precise to day off from work because of these circumstances or the care of a member of the family. 


No-Fault attendance insurance policies usually deal with all absences the identical. Due to this fact, absences that fall underneath these protected causes punish an worker for taking legally protected day off from work. 

See also  6 Steps to Keep 12 months-Finish Payroll Compliance


Following swimsuit of many states which are additionally prohibiting these attendance insurance policies, New York State has handed a invoice that may amend state labor legal guidelines to ban employers from “assessing any demerit, incidence, every other level, or deductions from an allotted financial institution of time to workers taking “any legally protected absence pursuant to federal, state, or native legislation. If an employer continues the apply of no-fault attendance insurance policies, they are going to be topic to retaliation underneath the NYS Labor Regulation. 


Governor Kathy Hochul is anticipated to signal the invoice into legislation later this summer time. The modification would take impact 90 days after. 

See also  8 Kinds of Worker Recognition Awards


For extra up-to-date info on this invoice or different laws that impacts New York State workers, go to us on our weblog at the moment